Dubai vs Bali: where to invest?
Let’s quickly compare real estate in Dubai and Bali from an investor’s point of view: where is it more profitable to invest?
Parity in the economy
The GDP of the UAE and Indonesia is growing at 5% per year. Indonesia generally ranks 3rd in Asia in terms of GDP growth. In Dubai, the inflation rate is 3.3%. Here we see parity.
Real estate market
In Bali, by law, only 1/3 of the entire island can be developed. And local real estate is not very pleased with its diversity. Dubai is another matter, where you can find a villa to suit every taste, a townhouse, a residence the size of half a football field, or a house on the water. The construction sector is strictly regulated by the state; all buildings meet high standards of quality and environmental friendliness.
Resident card
In Bali, buying real estate is not a reason to give you a residence permit. In Dubai, you can get a residence permit with an investment of $205,000. Also in Bali, foreigners cannot register land ownership, only lease it for up to 30 years. In Dubai, in special freehold zones, you can take full ownership of an object and pass it on by inheritance.
Taxes
The tax rate in Bali is higher. In Indonesia, taxes are set on the purchase, rental income and sale of square meters: from 5 to 11%. One of the main advantages of investing in real estate in Dubai is that there are no taxes on the same. Only 4% Land tax. That’s all.
What is the conclusion
Over the past 2 years, Dubai has proven that its real estate is profitable and reliable. Just invest and watch the price rise. Rent out with a yield of up to 12% and become richer. You do not pay taxes on income, you can invest remotely and receive a residence permit.
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